Erin Kerrigan

“It's 5% new car margin, 50% service margin.”

Erin Kerrigan · said date not stated · reported 2026-08-19

Kerrigan compared new car margins to service margins.

“The auto retailer remains one of the more attractive hedged business models,”

Erin Kerrigan · said date not stated · reported 2026-08-19

Kerrigan discussed how dealerships' multiple profit streams create a hedged business model.

“If you lose $10 of new vehicle revenue, you only have to pick up $1 of service to have your gross margin remain flat,”

Erin Kerrigan · said date not stated · reported 2026-08-19

Kerrigan explained how service margins can offset declines in new vehicle revenue.